Vehicle scrapping program to continue operations

Finance C'tee approves continuation of project to provide monetary compensation to people who turn in vehicles for metal scrapping.

MK Moshe Gafni (UTJ) 311.
(photo credit:Marc Israel Sellem)

The Knesset Finance Committee approved on Thursday the continuation of a project
to provide monetary compensation to vehicle owners who turn in their clunkers
for metal scrapping.

“This important project contributes to the
protection of human life and the environment,” committee chairman Moshe Gafni
(United Torah Judaism) said.

The committee approved a NIS 10 million
budget for the scrapping process, an effort that will be led by the
Environmental Protection Ministry in collaboration with the Transportation
Ministry. Owners of vehicles over 20 years old that have a valid license will be
eligible to receive NIS 3,000 for their cars – which are polluting the
environment and causing safety hazards on the roads, a committee spokesman
said.

The renewed budget will allow the program to continue for the time
being, after it had been forced to stop many times due to financial constraints,
with the last installment occurring in April, the spokesman
explained.

“This issue is very important,” Gafni said. “Encouraging
people to bring old vehicles for scrapping also contributes to the environment
and safety, and protects human life. Overall, it also brings huge savings to the
state.”

Such savings to the state occur because vehicle scrapping leads
to the purchase of new cars, which provides considerable tax revenues to the
government, according to Gafni.

“Unfortunately, the budget for this
project was exhausted because it is a very attractive program, and I requested
from the Treasury to renew the budget for a new implementation,” Gafni said,
crediting Environmental Protection Minister Gilad Erdan and members of the
Transportation Ministry for their joint pursuit of the funds.

Amir
Zalzberg, of the Environmental Protection Ministry’s Air Quality Division,
promised that funds provided for the project go predominantly to the public with
very little bureaucracy involved. It is imperative that the government create a
sequence of one year for the program in the future, rather than having to stop
in the middle due to fund exhaustion, as occurred this year, according to
Zalzberg.

“We cannot release publicity about the scrapping project and
after a month suddenly stop it,” said Katy Moraly, vehicle licensing manager at
the Transportation Ministry’s Licensing Division. “This creates confusion among
the citizens and we even received complaints from citizens who wanted to benefit
from the process.”